Greg Newman, senior wealth advisor, director and portfolio manager at Newman Group, Scotia Wealth Management

Focus: Canadian dividend stocks and protection strategies
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MARKET OUTLOOK
Stocks may not be cheap, but they are far more compelling than bonds and real estate in many parts of the world. Buying well and getting paid to wait is more important than ever in a higher-valuation and slower-growth environment.

Lower-for-longer interest rates remain the more likely scenario in spite of an eventual rate hike by the FED, which is likely to happen in December. Encouraging barometers, such as an uptick in S&P 500 earnings, suggest some top-line growth could finally be at hand. Coupled with an improving U.S. labour picture and reasonable U.S. economic activity, stocks are more likely to grind higher — as long as Hillary wins the election. 

TOP PICKS

ALGONQUIN POWER & UTILITIES (AQN.TO)
AQN boasts a robust earnings profile from acquisitions, new projects and higher rate cases and trades at a reasonable price. Enjoy a well-covered, enviable dividend while its growth thesis plays out.

WSP GLOBAL (WSP.TO)
WSP stands to benefit from growth in global infrastructure and environmental compliance. It trades at a reasonable price. Earn an attractive and well-covered dividend while this growth plays out.

H&R REIT (HR_u.TO)
HR pays an attractive and well-covered distribution, and trades at a compelling price relative to its peers and five-year average. Catalysts for growth include an uptick in the outlook for Alberta and capital recycling initiatives.
 

PAST PICKS: JANUARY 21, 2016

ALGONQUIN POWER & UTILITIES (AQN.TO)

• Then: $10.84
• Now: $11.73
• Return: 8.2%
• TR: +12.07%

KILLAM PROPERTIES (KMP_u.TO)

• Then: $10.28
• Now: $12.13
• Return: 17.99%
• TR: +22.52%

BROOKFIELD ASSET MANAGEMENT (BAMa.TO)

• Then: $40.05
• Now: $47.64
• Return: 20.82%
• TR: +22.23%

TOTAL RETURN AVERAGE: +18.94%
 

WEBSITE: newmangroup.ca